Structure & Momentum (again)
Today I decided to walk through the relationship between structure and momentum from first principles. The circular self-defining nature of many fundamental ideas in technical analysis shares in similarity with all fields that produce sense from nonsense. The first layer of sense we rest upon the raw facts and data of the world emerges only relatively. The edges of the system, or in the first few steps in building a system of understanding we cannot escape the circular and relative meaning that gets us off the floor. Beyond the labels we can ascribe to physical objects we begin now to label things in motion. Things becoming something else. Things transforming. The nature of the world to move; either forward in space or time, or move forward in evolution and form contains at its source an abstraction for movement as such. This in the physical world we call energy with its corollary forms and structure. In technical analysis this eternal motion we call momentum and its corollary of structure. In keeping with the simplicity of our 'new system' we start at the same humble beginnings and aim to define and explain all chart patterns in their tiers of complexity in terms of these simple ideas.
Good Trading.
